97TH GENERAL ASSEMBLY
State of Illinois
2011 and 2012
HB0251

 

Introduced 01/25/11, by Rep. Rosemary Mulligan

 

SYNOPSIS AS INTRODUCED:
 
20 ILCS 301/5-20
230 ILCS 10/13  from Ch. 120, par. 2413
230 ILCS 10/13.1

    Amends the Alcoholism and Other Drug Abuse and Dependency Act. Includes a study to identify the recidivism rates among adults and juveniles in the compulsive gambling program established by the Department of Human Services and requires the Department to file a report with the General Assembly detailing the results of the study on or before January 1, 2012 and every 2 years thereafter. Amends the Riverboat Gambling Act. Provides that an amount equal to 0.5% of the adjusted gross receipts of all owners licensees under the Act or one-twelfth of $10,000,000, whichever is less, shall be paid monthly, subject to appropriation by the General Assembly, from the State Gaming Fund to the Department of Human Services for the purposes of funding the compulsive gambling program established under the Alcoholism and Other Drug Abuse and Dependency Act. In provisions requiring that each licensed owner post signs with a statement regarding obtaining assistance with gambling problems, provides that the signs be posted near each automated teller machine. Effective immediately.


LRB097 03027 ASK 43058 b

FISCAL NOTE ACT MAY APPLY

 

 

A BILL FOR

 

HB0251LRB097 03027 ASK 43058 b

1    AN ACT concerning gaming.
 
2    Be it enacted by the People of the State of Illinois,
3represented in the General Assembly:
 
4    Section 5. The Alcoholism and Other Drug Abuse and
5Dependency Act is amended by changing Section 5-20 as follows:
 
6    (20 ILCS 301/5-20)
7    Sec. 5-20. Compulsive gambling program.
8    (a) Subject to appropriation, the Department shall
9establish a program for public education, research, and
10training regarding problem and compulsive gambling and the
11treatment and prevention of problem and compulsive gambling.
12Subject to specific appropriation for these stated purposes,
13the program must include all of the following:
14        (1) Establishment and maintenance of a toll-free "800"
15    telephone number to provide crisis counseling and referral
16    services to families experiencing difficulty as a result of
17    problem or compulsive gambling.
18        (2) Promotion of public awareness regarding the
19    recognition and prevention of problem and compulsive
20    gambling.
21        (3) Facilitation, through in-service training and
22    other means, of the availability of effective assistance
23    programs for problem and compulsive gamblers.

 

 

HB0251- 2 -LRB097 03027 ASK 43058 b

1        (4) Studies Conducting studies to identify adults and
2    juveniles in this State who are, or who are at risk of
3    becoming, problem or compulsive gamblers.
4        (5) A study to identify the recidivism rates among
5    adults and juveniles in the program and the Department
6    shall file a report with the General Assembly detailing the
7    results of the study on or before January 1, 2012 and every
8    2 years thereafter.
9    (b) Subject to appropriation, the Department shall either
10establish and maintain the program or contract with a private
11or public entity for the establishment and maintenance of the
12program. Subject to appropriation, either the Department or the
13private or public entity shall implement the toll-free
14telephone number, promote public awareness, and conduct
15in-service training concerning problem and compulsive
16gambling.
17    (c) Subject to appropriation, the Department shall produce
18and supply the signs specified in Section 10.7 of the Illinois
19Lottery Law, Section 34.1 of the Illinois Horse Racing Act of
201975, Section 4.3 of the Bingo License and Tax Act, Section 8.1
21of the Charitable Games Act, and Section 13.1 of the Riverboat
22Gambling Act.
23(Source: P.A. 89-374, eff. 1-1-96; 89-626, eff. 8-9-96.)
 
24    Section 10. The Riverboat Gambling Act is amended by
25changing Sections 13 and 13.1 as follows:
 

 

 

HB0251- 3 -LRB097 03027 ASK 43058 b

1    (230 ILCS 10/13)  (from Ch. 120, par. 2413)
2    Sec. 13. Wagering tax; rate; distribution.
3    (a) Until January 1, 1998, a tax is imposed on the adjusted
4gross receipts received from gambling games authorized under
5this Act at the rate of 20%.
6    (a-1) From January 1, 1998 until July 1, 2002, a privilege
7tax is imposed on persons engaged in the business of conducting
8riverboat gambling operations, based on the adjusted gross
9receipts received by a licensed owner from gambling games
10authorized under this Act at the following rates:
11        15% of annual adjusted gross receipts up to and
12    including $25,000,000;
13        20% of annual adjusted gross receipts in excess of
14    $25,000,000 but not exceeding $50,000,000;
15        25% of annual adjusted gross receipts in excess of
16    $50,000,000 but not exceeding $75,000,000;
17        30% of annual adjusted gross receipts in excess of
18    $75,000,000 but not exceeding $100,000,000;
19        35% of annual adjusted gross receipts in excess of
20    $100,000,000.
21    (a-2) From July 1, 2002 until July 1, 2003, a privilege tax
22is imposed on persons engaged in the business of conducting
23riverboat gambling operations, other than licensed managers
24conducting riverboat gambling operations on behalf of the
25State, based on the adjusted gross receipts received by a

 

 

HB0251- 4 -LRB097 03027 ASK 43058 b

1licensed owner from gambling games authorized under this Act at
2the following rates:
3        15% of annual adjusted gross receipts up to and
4    including $25,000,000;
5        22.5% of annual adjusted gross receipts in excess of
6    $25,000,000 but not exceeding $50,000,000;
7        27.5% of annual adjusted gross receipts in excess of
8    $50,000,000 but not exceeding $75,000,000;
9        32.5% of annual adjusted gross receipts in excess of
10    $75,000,000 but not exceeding $100,000,000;
11        37.5% of annual adjusted gross receipts in excess of
12    $100,000,000 but not exceeding $150,000,000;
13        45% of annual adjusted gross receipts in excess of
14    $150,000,000 but not exceeding $200,000,000;
15        50% of annual adjusted gross receipts in excess of
16    $200,000,000.
17    (a-3) Beginning July 1, 2003, a privilege tax is imposed on
18persons engaged in the business of conducting riverboat
19gambling operations, other than licensed managers conducting
20riverboat gambling operations on behalf of the State, based on
21the adjusted gross receipts received by a licensed owner from
22gambling games authorized under this Act at the following
23rates:
24        15% of annual adjusted gross receipts up to and
25    including $25,000,000;
26        27.5% of annual adjusted gross receipts in excess of

 

 

HB0251- 5 -LRB097 03027 ASK 43058 b

1    $25,000,000 but not exceeding $37,500,000;
2        32.5% of annual adjusted gross receipts in excess of
3    $37,500,000 but not exceeding $50,000,000;
4        37.5% of annual adjusted gross receipts in excess of
5    $50,000,000 but not exceeding $75,000,000;
6        45% of annual adjusted gross receipts in excess of
7    $75,000,000 but not exceeding $100,000,000;
8        50% of annual adjusted gross receipts in excess of
9    $100,000,000 but not exceeding $250,000,000;
10        70% of annual adjusted gross receipts in excess of
11    $250,000,000.
12    An amount equal to the amount of wagering taxes collected
13under this subsection (a-3) that are in addition to the amount
14of wagering taxes that would have been collected if the
15wagering tax rates under subsection (a-2) were in effect shall
16be paid into the Common School Fund.
17    The privilege tax imposed under this subsection (a-3) shall
18no longer be imposed beginning on the earlier of (i) July 1,
192005; (ii) the first date after June 20, 2003 that riverboat
20gambling operations are conducted pursuant to a dormant
21license; or (iii) the first day that riverboat gambling
22operations are conducted under the authority of an owners
23license that is in addition to the 10 owners licenses initially
24authorized under this Act. For the purposes of this subsection
25(a-3), the term "dormant license" means an owners license that
26is authorized by this Act under which no riverboat gambling

 

 

HB0251- 6 -LRB097 03027 ASK 43058 b

1operations are being conducted on June 20, 2003.
2    (a-4) Beginning on the first day on which the tax imposed
3under subsection (a-3) is no longer imposed, a privilege tax is
4imposed on persons engaged in the business of conducting
5riverboat gambling operations, other than licensed managers
6conducting riverboat gambling operations on behalf of the
7State, based on the adjusted gross receipts received by a
8licensed owner from gambling games authorized under this Act at
9the following rates:
10        15% of annual adjusted gross receipts up to and
11    including $25,000,000;
12        22.5% of annual adjusted gross receipts in excess of
13    $25,000,000 but not exceeding $50,000,000;
14        27.5% of annual adjusted gross receipts in excess of
15    $50,000,000 but not exceeding $75,000,000;
16        32.5% of annual adjusted gross receipts in excess of
17    $75,000,000 but not exceeding $100,000,000;
18        37.5% of annual adjusted gross receipts in excess of
19    $100,000,000 but not exceeding $150,000,000;
20        45% of annual adjusted gross receipts in excess of
21    $150,000,000 but not exceeding $200,000,000;
22        50% of annual adjusted gross receipts in excess of
23    $200,000,000.
24    (a-8) Riverboat gambling operations conducted by a
25licensed manager on behalf of the State are not subject to the
26tax imposed under this Section.

 

 

HB0251- 7 -LRB097 03027 ASK 43058 b

1    (a-10) The taxes imposed by this Section shall be paid by
2the licensed owner to the Board not later than 5:00 o'clock
3p.m. of the day after the day when the wagers were made.
4    (a-15) If the privilege tax imposed under subsection (a-3)
5is no longer imposed pursuant to item (i) of the last paragraph
6of subsection (a-3), then by June 15 of each year, each owners
7licensee, other than an owners licensee that admitted 1,000,000
8persons or fewer in calendar year 2004, must, in addition to
9the payment of all amounts otherwise due under this Section,
10pay to the Board a reconciliation payment in the amount, if
11any, by which the licensed owner's base amount exceeds the
12amount of net privilege tax paid by the licensed owner to the
13Board in the then current State fiscal year. A licensed owner's
14net privilege tax obligation due for the balance of the State
15fiscal year shall be reduced up to the total of the amount paid
16by the licensed owner in its June 15 reconciliation payment.
17The obligation imposed by this subsection (a-15) is binding on
18any person, firm, corporation, or other entity that acquires an
19ownership interest in any such owners license. The obligation
20imposed under this subsection (a-15) terminates on the earliest
21of: (i) July 1, 2007, (ii) the first day after the effective
22date of this amendatory Act of the 94th General Assembly that
23riverboat gambling operations are conducted pursuant to a
24dormant license, (iii) the first day that riverboat gambling
25operations are conducted under the authority of an owners
26license that is in addition to the 10 owners licenses initially

 

 

HB0251- 8 -LRB097 03027 ASK 43058 b

1authorized under this Act, or (iv) the first day that a
2licensee under the Illinois Horse Racing Act of 1975 conducts
3gaming operations with slot machines or other electronic gaming
4devices. The Board must reduce the obligation imposed under
5this subsection (a-15) by an amount the Board deems reasonable
6for any of the following reasons: (A) an act or acts of God,
7(B) an act of bioterrorism or terrorism or a bioterrorism or
8terrorism threat that was investigated by a law enforcement
9agency, or (C) a condition beyond the control of the owners
10licensee that does not result from any act or omission by the
11owners licensee or any of its agents and that poses a hazardous
12threat to the health and safety of patrons. If an owners
13licensee pays an amount in excess of its liability under this
14Section, the Board shall apply the overpayment to future
15payments required under this Section.
16    For purposes of this subsection (a-15):
17    "Act of God" means an incident caused by the operation of
18an extraordinary force that cannot be foreseen, that cannot be
19avoided by the exercise of due care, and for which no person
20can be held liable.
21    "Base amount" means the following:
22        For a riverboat in Alton, $31,000,000.
23        For a riverboat in East Peoria, $43,000,000.
24        For the Empress riverboat in Joliet, $86,000,000.
25        For a riverboat in Metropolis, $45,000,000.
26        For the Harrah's riverboat in Joliet, $114,000,000.

 

 

HB0251- 9 -LRB097 03027 ASK 43058 b

1        For a riverboat in Aurora, $86,000,000.
2        For a riverboat in East St. Louis, $48,500,000.
3        For a riverboat in Elgin, $198,000,000.
4    "Dormant license" has the meaning ascribed to it in
5subsection (a-3).
6    "Net privilege tax" means all privilege taxes paid by a
7licensed owner to the Board under this Section, less all
8payments made from the State Gaming Fund pursuant to subsection
9(b) of this Section.
10    The changes made to this subsection (a-15) by Public Act
1194-839 are intended to restate and clarify the intent of Public
12Act 94-673 with respect to the amount of the payments required
13to be made under this subsection by an owners licensee to the
14Board.
15    (b) Until January 1, 1998, 25% of the tax revenue deposited
16in the State Gaming Fund under this Section shall be paid,
17subject to appropriation by the General Assembly, to the unit
18of local government which is designated as the home dock of the
19riverboat. Beginning January 1, 1998, from the tax revenue
20deposited in the State Gaming Fund under this Section, an
21amount equal to 5% of adjusted gross receipts generated by a
22riverboat shall be paid monthly, subject to appropriation by
23the General Assembly, to the unit of local government that is
24designated as the home dock of the riverboat. From the tax
25revenue deposited in the State Gaming Fund pursuant to
26riverboat gambling operations conducted by a licensed manager

 

 

HB0251- 10 -LRB097 03027 ASK 43058 b

1on behalf of the State, an amount equal to 5% of adjusted gross
2receipts generated pursuant to those riverboat gambling
3operations shall be paid monthly, subject to appropriation by
4the General Assembly, to the unit of local government that is
5designated as the home dock of the riverboat upon which those
6riverboat gambling operations are conducted.
7    (c) Appropriations, as approved by the General Assembly,
8may be made from the State Gaming Fund to the Board (i) for the
9administration and enforcement of this Act and the Video Gaming
10Act, (ii) for distribution to the Department of State Police
11and to the Department of Revenue for the enforcement of this
12Act, and (iii) to the Department of Human Services for the
13administration of programs to treat problem gambling.
14    (c-5) Before May 26, 2006 (the effective date of Public Act
1594-804) and beginning on the effective date of this amendatory
16Act of the 95th General Assembly, unless any organization
17licensee under the Illinois Horse Racing Act of 1975 begins to
18operate a slot machine or video game of chance under the
19Illinois Horse Racing Act of 1975 or this Act, after the
20payments required under subsections (b) and (c) have been made,
21an amount equal to 15% of the adjusted gross receipts of (1) an
22owners licensee that relocates pursuant to Section 11.2, (2) an
23owners licensee conducting riverboat gambling operations
24pursuant to an owners license that is initially issued after
25June 25, 1999, or (3) the first riverboat gambling operations
26conducted by a licensed manager on behalf of the State under

 

 

HB0251- 11 -LRB097 03027 ASK 43058 b

1Section 7.3, whichever comes first, shall be paid from the
2State Gaming Fund into the Horse Racing Equity Fund.
3    (c-10) Each year the General Assembly shall appropriate
4from the General Revenue Fund to the Education Assistance Fund
5an amount equal to the amount paid into the Horse Racing Equity
6Fund pursuant to subsection (c-5) in the prior calendar year.
7    (c-15) After the payments required under subsections (b),
8(c), and (c-5) have been made, an amount equal to 2% of the
9adjusted gross receipts of (1) an owners licensee that
10relocates pursuant to Section 11.2, (2) an owners licensee
11conducting riverboat gambling operations pursuant to an owners
12license that is initially issued after June 25, 1999, or (3)
13the first riverboat gambling operations conducted by a licensed
14manager on behalf of the State under Section 7.3, whichever
15comes first, shall be paid, subject to appropriation from the
16General Assembly, from the State Gaming Fund to each home rule
17county with a population of over 3,000,000 inhabitants for the
18purpose of enhancing the county's criminal justice system.
19    (c-20) Each year the General Assembly shall appropriate
20from the General Revenue Fund to the Education Assistance Fund
21an amount equal to the amount paid to each home rule county
22with a population of over 3,000,000 inhabitants pursuant to
23subsection (c-15) in the prior calendar year.
24    (c-25) After the payments required under subsections (b),
25(c), (c-5) and (c-15) have been made, an amount equal to 2% of
26the adjusted gross receipts of (1) an owners licensee that

 

 

HB0251- 12 -LRB097 03027 ASK 43058 b

1relocates pursuant to Section 11.2, (2) an owners licensee
2conducting riverboat gambling operations pursuant to an owners
3license that is initially issued after June 25, 1999, or (3)
4the first riverboat gambling operations conducted by a licensed
5manager on behalf of the State under Section 7.3, whichever
6comes first, shall be paid from the State Gaming Fund to
7Chicago State University.
8    (c-30) After the payments required under subsections (b),
9(c), (c-5), (c-15), and (c-25) have been made, an amount equal
10to 0.5% of the adjusted gross receipts of all owners licensees
11under this Act or one-twelfth of $10,000,000, whichever is
12less, shall be paid monthly, subject to appropriation by the
13General Assembly, from the State Gaming Fund to the Department
14of Human Services for the purposes of funding the compulsive
15gambling program established under Section 5-20 of the
16Alcoholism and Other Drug Abuse and Dependency Act.
17    (d) From time to time, the Board shall transfer the
18remainder of the funds generated by this Act into the Education
19Assistance Fund, created by Public Act 86-0018, of the State of
20Illinois.
21    (e) Nothing in this Act shall prohibit the unit of local
22government designated as the home dock of the riverboat from
23entering into agreements with other units of local government
24in this State or in other states to share its portion of the
25tax revenue.
26    (f) To the extent practicable, the Board shall administer

 

 

HB0251- 13 -LRB097 03027 ASK 43058 b

1and collect the wagering taxes imposed by this Section in a
2manner consistent with the provisions of Sections 4, 5, 5a, 5b,
35c, 5d, 5e, 5f, 5g, 5i, 5j, 6, 6a, 6b, 6c, 8, 9, and 10 of the
4Retailers' Occupation Tax Act and Section 3-7 of the Uniform
5Penalty and Interest Act.
6(Source: P.A. 95-331, eff. 8-21-07; 95-1008, eff. 12-15-08;
796-37, eff. 7-13-09; 96-1392, eff. 1-1-11.)
 
8    (230 ILCS 10/13.1)
9    Sec. 13.1. Compulsive gambling.
10    (a) Each licensed owner shall post signs with a statement
11regarding obtaining assistance with gambling problems, the
12text of which shall be determined by rule by the Department of
13Human Services, at the following locations in each facility at
14which gambling is conducted by the licensed owner:
15        (i) Each entrance and exit.
16        (ii) Near each credit location, including each
17    automated teller machine.
18    The signs shall be provided by the Department of Human
19Services.
20    (b) Each licensed owner shall print a statement regarding
21obtaining assistance with gambling problems, the text of which
22shall be determined by rule by the Department of Human
23Services, on all paper stock that the licensed owner provides
24to the general public.
25(Source: P.A. 89-374, eff. 1-1-96; 89-507, eff. 7-1-97.)
 

 

 

HB0251- 14 -LRB097 03027 ASK 43058 b

1    Section 99. Effective date. This Act takes effect upon
2becoming law.